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Cattle Futures: Market Turns Neutral to Bullish, Thursday

US - Indicators suggest prices could go sideways to higher in live and feeder cattle, reports TheCattleSite analyst, Jim Wyckoff.

April live cattle closed up $0.25 at 144.00. April cattle closed higher on Thursday. The high-range close sets the stage for a steady to higher opening when Friday's session begins trading.

Stochastics and the RSI have turned neutral to bullish signaling that sideways to higher prices are possible near-term.

Closes above the 20-day moving average crossing at 144.76 would confirm that a low has been posted.

If April renews the decline off March's high, the 38 per cent retracement level of the November-March-rally crossing at 141.38.

First resistance is the 20-day moving average crossing at 144.76. Second resistance is March's high crossing at 147.00.

First support is Monday's low crossing at 142.35. Second support is the 38 per cent retracement level of the November-March-rally crossing at 141.38.

April feeder cattle closed down $0.60 at $178.27. April Feeder cattle gapped down and closed lower on Thursday.

The low-range close sets the stage for a steady to lower opening when Friday's night session begins trading. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term.

If April renews this year's rally into uncharted territory, upside targets will be hard to project.

Closes below the 20-day moving average crossing at 177.44 are needed to confirm that a short-term top has been posted. First resistance is March's high crossing at 179.80. Second resistance is unknown.

First support is the 20-day moving average crossing at 177.44. Second support is the reaction low crossing at 174.50.

TheCattleSite News Desk

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